2000 -- H 7754
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LC01224
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S T A T E O F R H O D E I S L A N D
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2000
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A N A C T
RELATING TO ATTORNEY'S LIENS
It is enacted by the General Assembly as follows:
SECTION 1. Section 9-3-1 of the General Laws in Chapter 9-3 entitled "Liens Against Causes of Action" is hereby amended to read as follows:
9-3-1. Attorney's lien -- Creation -
(a) Whenever the relationship of attorney and client has been entered into by an implied or express contract for service, wherein the attorney does not agree to be responsible for costs of suit, the attorney shall have a lien to the value of his or her contractual interests in the cause of action, claim, demand, counterclaim, or other matter concerning which the contract is entered into.(b) An attorney-client relationship shall be presumed to exist with respect to any person, firm, or corporation claiming a portion of the settlement proceeds of any negligence claim brought by an attorney in behalf of an injured client. The attorney shall be entitled to retain one third (1/3) of the amount of any funds paid to such third parties as his or her fee for services.
SECTION 2. This act shall take effect upon passage.
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LC01224
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO ATTORNEY'S LIENS
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This act would permit attorneys to claim a fee for collecting and paying bills associated with the settlement of negligence claims.
This act would take effect upon passage.